Business Entity Change Sole Trader to Ltd


Hi everyone

I’ve emailed support to change my business from a Sole Trader to a Limited company. They responded with a notification in my account with the following email. From reding ll the past posts on the same topic I haven’t come across this happening to anyone before so I wondered if anyone could offer me some help on the email as getting a minor detail wrong I feear could result in my account being closed while it’s processed.

Here’s the notification from amazon


Thank you for contacting us. Our apologies for the inconvenience regard the change of legal entity. Could you please reply to this message and provide the information listed below so we can review your request.

– The reason for changing the business registered on your Selling on Amazon account.
– The relationship between your current business and the new business you want to register.
– The name, including legal entity, of the new business you want to register, e.g., sole proprietorship, limited company, non-profit organization.
– Confirm if your current business will continue to exist.
– Confirm all beneficial owners of your current business. A beneficial owner is a natural person who directly or indirectly owns 25% or more of the shares or voting rights in your business.
– Confirm country of establishment of the new business.
– Confirm all beneficial owners of the new business.

If you have any questions, you can contact us at any time (


The Amazon Payments Team


Seller Account verification connected to legal entity change is usually a very lengthy process during which it gets suspended, so you should be happy that you received an option to respond to questions prior to doing so and avoid a suspension.

Simply respond as best as you can, so Amazon can review your submissions and approve your request.


Hi Kika thanks for your info I know from experience that you offer a wealth of info but I have to disagree with you regarding suspension.

I’ve read many stories on the forum of people having their business entity changed very quickly literally days without suspension.

Giving this information from such an experienced forum member I feel will scare other sellers into changing their business entity.

Basically I disagree with your reply.


As soon as they’ve completed the necessary compliance they can arrange the transfer, unless there is a legal reason that prevents the transfer. The compliance issues apparently take the longest to be resolved.

The vast majority of sellers complete a change of entity without having their selling rights restricted, but in a minority of cases this can happen.


I personally switched over from sole to LTD with no ill effects 8 months ago. I first contacted the email: saying I would need to change over in the near future. I asked if they could avoid shutting down my sales during verification, and I asked how could that be accomplished. They then sent the same survey as OP in my performance notifications flags, and I think they may have forwarded me to some other email, I don’t remember exactly.

Once i received the survey, I waited until the new LTD was all fully updated on Companies house and my new company bank statement was physically available along with the new VAT cert. I finished the survey and EMAILED it back to them (repeating please don’t shut me down!). The verification began, they asked for the documents on my performance notifications flags, and I provided them immediately.

Although my account was ‘under review’ for 3 days, my sales were NOT stopped and I was not suspended for that time. Sales continued as normal, but I couldn’t disburse until the new bank details updated, which only took a few days. Eventually the ‘under review’ flag went away and that was it, nothing bad happened!

It was surprisingly seamless!

I think you DO have to ask them beforehand if they can do it without suspension, because I’ve seen plenty of posts on here where people were suspended. In my case that did not occur because I contacted them first and I did as instructed.


The forum is flooded with posts from sellers who had their account suspended following the change of their legal entity type and ended up in an endless verification.

I had my own account suspended for months after doing so myself.

Just because some sellers are able to go through the process with no negative effect on their account, it doesn’t mean that the experience and feedback from others should be disregarded as wrong advice.

It’s always better to be careful and prepared for every possible outcome. Every situation is individual.


i have changed from sole propietor to ltd. i am under verification right now. one of the answers i have given to answered was why i changed to ltd and i told them that i have a lot of sales and my accountant told me to do so to eliminate cost and expenses


Have they suspended your sales while they verify you?


nope, they are healthy and it has passed 1 and half week so far


HI! Did you solve this issue? I’m in the same boat, I’ve received same questions, replied few days ago and still waiting…


Not heard a sausage off them since beginning of year!


Whaatt?? It’s unbelievable…
They’ve told me that I have to wait or close my current account+ open a new one, with a new email address. I don’t know what to do…


Opening a new account would be a disaster for me with the amount of stock I have in FBA plus losing my seller rating.

Many many people have managed to switch their business entity.


If this advice came from SS then ignore it, if however the advice to open a new account came from seller performance or the verification team then it does hold more water.


It came from Amazon Selling Partner Support,


Of course, there is always the option to open an additional Seller Account.

In order to apply for a second account, you will need to open a case with the Seller Support under “Your Account” - “Other account issues”.

Ask for a permission to open an additional Seller Account.

They will respond back with a short questionnaire consisting of questions like this:

  1. When was your business started?
  2. What are your yearly sales?
  3. Do you have any retail brick and mortar locations? If so, how many?
  4. How many employees do you have?
  5. Does your business have a website? If so what date was it created and can you provide a link?
  6. Do you sell on any other online selling platforms?
  7. What are the sources of your inventory? Can you provide an invoice from your primary supplier in support of this?
  8. What are your anticipated monthly sales on Amazon?
  9. Have you got adequate inventory levels to meet the demand you foresee for sales on Amazon? Is this stock readily available for dispatch?


Here are the guidelines for maintaining multiple Seller Accounts:

You must have a separate bank account for each Seller Central account. We will not approve multiple Seller Central accounts that use the same bank account within the same region. If you sell across regions (for example in North America and Europe), you may use the same bank account for your Seller Central accounts as long as your accounts are linked though Amazon Global Selling.

Each account must have a separate email address.

The products and services sold in each account must be different.

Your Performance Metrics must be in good standing.